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The Company
Hilden America, Inc. is a South Boston, VA, cut-and-sew operation
that makes fine damask table linens for the restaurant and hotel
trade.
The Situation
Hilden's management wanted to enhance the company's ability to respond
to special orders. Like all U.S. textile and apparel firms, Hilden
has to compete against low-wage foreign producers with a combination
of superior quality and service. Fine table linens come in a virtually
infinite number of colors and styles, so only a few items can be
produced for inventory. Hence, the lion's share of the business
is custom work.
The Response
GENEDGE ALLIANCE project managers John Hudson and Mark Oakes performed
an operations assessment and recommended some modern but simple
technology and management techniques to shorten order cycle time.
Hudson and Oakes developed a production and dispatch planning system
to help track orders, emphasizing the relationship between Hilden's
fabric suppliers and its cycle time. In addition, they did an analysis
using the Theory of Constraints - the modern management technique
that seeks to maximize productivity by targeting bottlenecks. Hudson
and Oakes determined that staffing levels in the sewing room should
be increased. A slight increase in capacity would eliminate a bottleneck
and could more than pay for itself in short turnaround time and
increased customer satisfaction.
The Results
According to company president David Nicoll, Hilden has slashed
its average order turnaround time from three weeks to three days.
Orders are now filled according to the urgency of the customer's
need, rather than first-in, first-out. The tracking system is used
daily to keep urgent orders moving through the system.
Management's Comment
"Initially, we structured our staffing level in the sewing room
so that everybody would have something to do all day long," Nicoll
said. "Now, we're beginning to realize how beneficial it is to eliminate
constraints. December was a record month for us in terms of product
shipped, and we expect this to improve further because of our ability
to offer customers a fast turnaround on their orders.
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